Indonesia to promote exports to Japan

Indonesia to promote exports to Japan

JAKARTA (JP): Indonesia is to hold a trade exhibition in the
city of Kobe in a bid to boost exports to Japanese markets.

The head of the National Agency for Export Development,
Muchtar, said yesterday that about 40 small and medium-scale
companies would participate at the Indonesian Solo Exhibition, to
be held from Sept. 17 to Sept. 21.

The trade mission is particularly aiming to increase
Indonesia's exports to Japan in areas where there are many non-
tariff barriers.

"Japan has a really protective market, and we expect to break
through with our trade mission," he said.

He said the exhibition would introduce new products to the
Japanese market, in addition to showcasing existing export
commodities, such as furniture and wood products.

Representatives of the textiles, garment, cosmetics, leather
products, footwear, furniture, ceramics, bicycle, and
agricultural and fishery industries will make up the bulk of the
mission.

Agency's data shows Indonesia's exports to Japan exceeded
US$12.88 million last year, accounting for 18.4 percent of the
country's total exports.

They included wood products, shrimps, garments, aluminum
products, coal, nickel, textiles, furniture, steel, coffee, tuna,
and shoes.

Indonesia's exports to Japan have grown by an average of 3.6
percent a year in the last five years.

Muchtar said the sluggish growth was partially caused by the
recent depreciation of the yen against the U.S. dollar, and
because of the lower competitiveness of Indonesian products.

He acknowledged that the rupiah's slump against the U.S.
dollar would improve the competitiveness of the Indonesian
exports, but said exporters should not be buoyed by such a
situation.

"Our aim is to raise exports, whether the currency depreciates
or appreciates," he said. (das)